Slide 1: Third Quarter 2004 Earnings Teleconference
Entergy Third Quarter 2004 Earnings Teleconference J. Wayne Leonard Chief Executive Officer Leo Denault Executive Vice President and Chief Financial Officer a October 21,2004 = Entergy
Slide 2: Safe Harbor and Reg G Compliance
Safe Harbor and Reg G Compliance In the presentation and ftom time to time, Energy makes statements concerning as expectations, beet, plac, objectives, oak, iateges, and future event of performance. Such statements are "Youd locking statements” within the meaning of he Priate Securtice Ltigaton Refo
Slide 3: As-Reported and Operational Earnings
As-Reported and Operational Earnings Earnings Per Share 3Q03 vs. 3Q04 $1.57 $1.57 s139 Ei s 5122 Util y ’ ". ‘ Par on EC 3Q03 3q03 3004 3q04 —_ AsReported Operational AsReported Operational Special items Special tems None $0.02 0.19 ($0.17) Page? of
Slide 4: Components of Entergy-Koch, LP Earnings
Components of Entergy-Koch, LP Earnings Entergy-Kach, LP Earnings 3Q04; $/share Inability to Apply Hedge Accounting $0.02 EXT {on MTM basis) Treatment due to: EMP ‘As-Reported NI“ GS Pipeline $(0.03) Pu $10.07) $10.11) Improved versus Equivalent Contracts for Contracts 3003 results of earnings ona w
Slide 5: Net Cash Flow from Operating Activities
Net Cash Flow Operating Ac’ Utility, Parent & Other 3Q03 vs. 3004; 5M Net Gash Flow from Operating Activities Py av 7 3Q03 vs. 3004; 5M Increased $66M primarily due to higher deferred fuel recovery 3003 3Q04 785 Entergy Nuclear 651 3Q03 vs. 3004; §M _ 160 ) Increased $35M due | i to higher contract
Slide 6: Utility, Parent & Other Quarterly Operational Performance Measures
ility, Parent & Other Quarterly Operational Performance Measures (i 3 Quarter Highlights Utility.) Earnings Per Share Weather-Adjusted Retail Sales ‘3Q03 vs. 3004 Twh au 38. Weather-adjusted sales increased 35% BEE oe aa 3003 3a04 Weather Impact SiShare 3003 3q04 Cooling degree oo days were 17% belo
Slide 7: Entergy Nuclear Quarterly Operational Performance Measures
Entergy Nuclear Quarterly Operational Performance Measures (3 Quarter Highlights -Nuclear_] Total Generation Earnings Per Share Gan 303 vs. 3004 a a tas) LAs! Output decreased 3 2% primarily due to unplanned outages 3901 aa04 Realized Price 028 oz smh 025 028 4036 am Realized price increased 6% due
Slide 8: 2004 Earnings Guidance
2004 Earnings Guidance Operational Earnings Per Share O3vs. 04 Guidance As Reported Eamings Per Share O3vs. 04 Guidance $4.01 $3.65 - 53.75 03 O4E Key Guidance Assumptions Utility, Parent_and Other © Milder year-to-date weather © Increased revenues due to rate actions and sales growth © Decreased O&
Slide 9: 2005 Earnings Guidance
2005 Earnings Guidance Operational Earnings Per Share 04 Guidance ws. 05 Guidance $4.60. 54.85 As Reported Eamings Per Share 04 Guidancevs. 05 Guidance $4.60. $4.85 $3.65. 53.75 O4E OSE Key Guidance Assumptions Utility, Parent_and Other © Increased revenues due to rate actions and sales growth Incre
Slide 10: Dividend Increase is Consistent With Commitment to Distribute Cash to Shareholders
Dividend Increase is Consistent With Commitmen to Distribute Cash to Shareholders Entergy Common Dividends Gash Provided to Shareholders Previous vs. Current annualized; Cumulative 04E-06E; % of Operational Earnings Sishare (top) and payout ratio (bottom) 26 10 on Previous Current ) Projected ~$3B i
Slide 11: Repurchase Program is Underway
Repurchase Program is Underway Shares Repurchased 04; Millions 7.4 eer ssemnare 45 24 a » = 1004 2004 3004 YTDo4 Page 10 0f 13
Slide 12: Financial Aspirations
Financial Aspirations Financial Aspirations and Status EPS Growth * 05 EPS guidance exceeding near-term 3-10% target 10% EPS growth targeted in 06 driven by intrinsic growth and accretion + 5.6% targeted thereafter Returns 9% ROIC Currently at ~ 7%; ROIC aspiration reflects sale Credit Metrics | <50
Slide 13: Q&A Session
Q&A Session Entergy
Slide 14: Appendix: Reg G Reconciliation
‘AS-REPORTED EARNINGS- CONSOLIDATED ‘AS-REPORTED EARNINGS - NUCLEAR [AS-REPORTED EARNINGS- UTILITY, PARENT & OTHER ‘AS-REPORTED EARNINGS - ECS UTILITY SPECIAL TEMS River Band lss provision SFAS 143 implementation Voluntary severance plan Teta Uilty Special tem PARENT @ OTHER SPECIAL TEMS ‘Voluntary